External broker reports(aggregated public sources), BRI Danareksa Research

BRI Danareksa Research

External broker reports(aggregated public sources)

As a one-stop financial solution with the vision to be the most valuable securities house, BRI Danareksa Sekuritas (BRIDS) has maintained an excellent track record and extensive experience in the capital market as an underwriter, broker, and financial advisor for individual, institutional, foreign and domestic, private and government clients. Established in 1992, PT Danareksa Sekuritas is a securities company that performs activities as a securities broker, underwriter, or arranger and financial advisor.

Thematic (Sector/Industry)

<ul><li>We expect the thermal coal market to remain in a supply-driven surplus in FY24, and expect the Newcastle coal price to moderate to US$120/t.</li><li>Based on our forecast, we project 13-29% net profit declines in FY24 for the coal miners and expect earnings to bottom out only in FY25.</li><li>We retain our Neutral rating on the sector on undemanding valuations and attractive dividend yields (9.1-28.4%) to cushion declining earnings.</li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

We expect the thermal coal market to remain in a supply-driven surplus in FY24, and expect the Newcastle coal price to moderate to US$120/t.Based on our forecast, we project 13-29% net profit declines in FY24 for the coal miners and expect earnings to bottom out only in FY25.We retain our Neutral rating on the sector on undemanding valuations and attractive dividend yields (9.1-28.4%) to cushion declining earnings.Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Coal Mining - FY24 Outlook: Soft demand and steady supply flow to drive further price normalization

<ul><li>We expect the thermal coal market to remain in a supply-driven surplus in FY24, and expect the Newcastle coal price to moderate to US$120/t. </li><li>Based on our forecast, we project 13-29% net profit declines in FY24 for the coal miners and expect earnings to bottom out only in FY25.</li><li>We retain our Neutral rating on the sector on undemanding valuations and attractive dividend yields (9.1-28.4%) to cushion declining earnings. </li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

We expect the thermal coal market to remain in a supply-driven surplus in FY24, and expect the Newcastle coal price to moderate to US$120/t. Based on our forecast, we project 13-29% net profit declines in FY24 for the coal miners and expect earnings to bottom out only in FY25.We retain our Neutral rating on the sector on undemanding valuations and attractive dividend yields (9.1-28.4%) to cushion declining earnings. Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Coal Mining | FY24 Outlook: Soft Demand and Steady Supply Flow to Drive Further Price Normalization

<ul><li>Coal market’s Aug23 trade and inventory data in China and India indicated possible seasonal demand recovery may be under way.</li><li>Thus, we see a tactical opportunity in 4Q23 with preferred picks on ADRO (Buy, TP Rp4,500) and ITMG (Buy, TP Rp45,000) or HRUM (Buy, TP Rp2,700) for more high-beta plays.</li><li>We also see UNTR (Buy, TP Rp40,000) earnings to potentially outperform in 3Q23.</li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Coal market’s Aug23 trade and inventory data in China and India indicated possible seasonal demand recovery may be under way.Thus, we see a tactical opportunity in 4Q23 with preferred picks on ADRO (Buy, TP Rp4,500) and ITMG (Buy, TP Rp45,000) or HRUM (Buy, TP Rp2,700) for more high-beta plays.We also see UNTR (Buy, TP Rp40,000) earnings to potentially outperform in 3Q23.Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Coal Mining - A Tactical Opportunity in 4Q23 on Possible Seasonal Demand Recovery

<ul><li>Gear UpDespite fiscal expansion in 2H, the government has a lower fiscal deficit target on higher revenues</li><li>Supporting domestic aggregate demand will remain key in in 2H23 and going into 2024</li><li>El Nino's return threatens the current disinflation trend, with rice and CPO prices being significant risks</li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Gear UpDespite fiscal expansion in 2H, the government has a lower fiscal deficit target on higher revenuesSupporting domestic aggregate demand will remain key in in 2H23 and going into 2024El Nino's return threatens the current disinflation trend, with rice and CPO prices being significant risksContent is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

External broker reports(aggregated public sources), Mirae Asset Securities

Mirae Asset Securities

Leading full-service brokerage firm in Vietnam. 

Content available is external broker reports authored by a third party outside the Smartkarma network and has been aggregated by an online aggregator through publicly available sources and is displayed by Smartkarma in this format for user's convenience and general informational purposes only. Content does not constitute investment or financial advice and Smartkarma makes no representation or warranty regarding its accuracy or contents. Original third party author retains all copyright and other proprietary rights in the content. Access or use of third party links not controlled by Smartkarma are at the user's own risk.

Equity Bottom-Up

Indo Tambangraya Megah / Equity Bottom-Up

Solid earnings due to sweet coal prices<div class="content-highlight">Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.</div>

Solid earnings due to sweet coal pricesContent is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Indo Tambangraya Megah (ITMG IJ) - Solid earnings due to sweet coal prices

Indonesia

PT Indo Tambangraya Megah Tbk operates as a coal exploration and mining company that provides energy and electricity support. The Company operates in Indonesia and supplies coal to the world energy market.

Indo Tambangraya Megah (ITMG IJ)

Coal Mining - FY24 Outlook: Soft demand and steady supply flow to drive further price normalization

We expect the thermal coal market to remain in a supply-driven surplus in FY24, and expect the Newcastle coal price to moderate to US$120/t.

BRI Danareksa Research

Coal Mining | FY24 Outlook: Soft Demand and Steady Supply Flow to Drive Further Price Normalization

We think miners with higher exposure to the low-medium CV products shall fare better given the smaller projected decline in ASP. Our pecking order...

BRI Danareksa Research

Coal Mining - A Tactical Opportunity in 4Q23 on Possible Seasonal Demand Recovery

Coal market’s Aug23 trade and inventory data in China and India indicated possible seasonal demand recovery may be under way.

BRI Danareksa Research

Macro and Flows Tracker - Gear Up

Gear UpDespite fiscal expansion in 2H, the government has a lower fiscal deficit target on higher revenues. Supporting domestic aggregate demand...

BRI Danareksa Research

Indo Tambangraya Megah (ITMG IJ) - Solid earnings due to sweet coal prices

Solid earnings due to sweet coal pricesContent is external broker report sourced from online content aggregator through publicly available sources...

Mirae Asset Securities